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Gigamedia Revenue Down 50 Percent
Sunday August 25,2013 : GIGAMEDIA Q2 REVENUES DIVE ALMOST 50 PERCENT
Best bet now is on an already delayed social casino project
Taiwan-based online gambling group GigaMedia's misfortunes continued to mount this week with the release of the company's Q2-2013 numbers, revealing that revenues were down 13 percent to $3.65 million on the last quarter, and 49 percent year-on-year.
Gross profit declined 17 percent to $1.92 million on the quarter, and 50 percent compared with the same period last year.
Although client numbers remained stable at around 23,000, they deposited 6 percent less in average monthly user spend.
Restructuring misjudgements have taken their toll on the company, which at one time held a significant stake - since sold - in Everest Gaming (see previous InfoPowa reports). In acknowledging past errors, Management has warned that it may take some time to recover.
The company's best opportunities appear to lie in the social casino sector, where it has been developing and testing browser-based online casino games via hundreds of Taiwan-based internet cafes since June. However, all is not necessarily going well on the project, which was originally planned to fully launch in July, but has since been delayed until end-2013.
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